NOTE 10 – DEBT

Short-term borrowings consist of lines of credit which are secured by certain assets of the Company and its subsidiaries. The short-term borrowing facilities are summarized below (in thousands):



			Facilities Used
	Total Amount		Short-term		Letters of		Facilities		Weighted average
	of Facilities		Borrowings		Credit		Available		interest rate
August 31, 2016	$	65,000	$	16,534	$	9,224	$	39,242	10.1	%	(1)
August 31, 2015	$	57,691	$	6,606	$	728	$	50,357	5.9	%

(1) Increased from prior year due to an increase in the loan rate in the Company’s Colombia Subsidiary

As of August 31, 2016 and August 31, 2015, the Company had approximately $40.0 million of short-term facilities in the U.S. that require compliance with certain quarterly financial covenants. As of August 31, 2016 and August 31, 2015, the Company was in compliance with respect to these covenants.

The following table provides the changes in long-term debt for the twelve months ended August 31, 2016:



(Amounts in thousands)	Current portion of long-term debt		Long-term debt (net of current portion)		Total
Balances as of August 31, 2015	$	17,169	$	73,365	$	90,534	(1)
Proceeds from long-term debt incurred during the period:
Costa Rica subsidiary		—		7,370		7,370
Trinidad subsidiary		1,000		6,000		7,000
Repayments of long-term debt:
Repayment of loan by Trinidad subsidiary		(2,771)		—		(2,771)
Regularly scheduled loan payments		(553)		(13,200)		(13,753)
Reclassifications of long-term debt		(731)		731		—
Translation adjustments on foreign-currency debt of subsidiaries whose functional currency is not the U.S. dollar (2)		451		(724)		(273)
Balances as of August 31, 2016	$	14,565	$	73,542	$	88,107	(3)

⁽¹⁾

The carrying amount on non-cash assets assigned as collateral for this total was $104.1 million. No cash assets were assigned as collateral for this total.

⁽²⁾

These foreign currency translation adjustments are recorded within Other comprehensive income.

⁽³⁾

The carrying amount on non-cash assets assigned as collateral for this total was $102.4 million. No cash assets were assigned as collateral for this total.

The following table provides a summary of the long-term loans entered into by the Company:



	August 31,		August 31,
	2016		2015
Loans entered into by the Company's subsidiaries with a balloon payment due at the end of the loan term and with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants	$	21,945	$	12,225
Loans entered into by the Company's subsidiaries for which the subsidiary has entered into an interest rate swap with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants		32,258		37,458
Loans entered into by the Company's subsidiaries with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants		9,717		12,564
Loans entered into by the Company's subsidiaries for which the subsidiary has entered into a cross-currency interest rate swap with non-cash assets and/or cash or cash equivalents assigned as collateral and with/without established debt covenants		24,187		28,287
Total long-term debt		88,107		90,534
Less: current portion		14,565		17,169
Long-term debt, net of current portion	$	73,542	$	73,365

As of August 31, 2016, the Company had approximately $76.0 million of long-term loans in Trinidad, Panama, El Salvador, Honduras, Costa Rica, Barbados and Colombia that require these subsidiaries to comply with certain annual or quarterly financial covenants, which include debt service and leverage ratios. As of August 31, 2016, the Company was in compliance with all covenants or amended covenants.

As of August 31, 2015, the Company had approximately $85.0 million of long-term loans in Trinidad, Panama, El Salvador, Honduras, Costa Rica, Barbados, and Colombia that require these subsidiaries to comply with certain annual or quarterly financial covenants, which include debt service and leverage ratios. As of August 31, 2015, the Company was in compliance with all covenants or amended covenants.

Annual maturities of long-term debt are as follows (in thousands):



Years Ended August 31,	Amount
2017	$	14,102
2018		13,975
2019		24,805
2020		21,117
2021		8,394
Thereafter		2,403
Total (1)	$	84,796

⁽¹⁾

In the case of loans subject to cross-currency interest rate swaps, the Company has used the effective rate to the Company under the applicable derivative obligation as of August 31, 2016 to disclose the future commitments of the related long-term debt.